Saturday, March 20, 2010

Waiting for a buy signal...

Ok, now that the market is expected to correct at least a little, we need to focus on the 34 ema line. If we bounce off the 34 ema, a buy will be triggered. If (or when) that day comes, the S fund is statistically the better play to maximize profits. If the market crashes down through the 34ema, like it did back in Jan, there would be no buy signal at that time.

The 34 ema current is in the 1128-1130 ballpark, but rising about 2 pts each day. By the end of the week, it should be in the 1135-1140 range. So, that's where we need this correction to go.

Here's a graphic...

In the meantime, while we wait, here are 2 stocks I'm watching this week. Both are in uptrends, and buy signals would be generated as described in the graphics.



No comments:

Post a Comment